QUOTE(aurora97 @ Jan 20 2015, 01:48 PM)
3. Stamp duty doesn't cost millions (unless of course your rental is in the millions!). I don't answer questions as to WHAT IF i don't stamp my document, that's at your own risk.
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Well ... let me try to answer that.
The tenancy contract needs to be signed. Otherwise, it is not enforceable. You cannot use it to sue the other party for non-compliance.
So what happens if at the end of the tenancy, you decided to get it signed, nearly 3 years late? Well, you pay the penalty and get it stamped, and then it is no longer not enforceable because it wasn't stamped. Because it would be stamped. The stamping office wouldn't refuse to stamp it because it's so late. They'll just apply the penalty.
Why then, doesn't everybody simply don't stamp the tenancy, and only do it after there's a problem? The penalty is only 20% after all. Chances of a problem are usually pretty low. Few tenancy disputes actually end up in court. If you can stamp it at anytime before you have to bring the document to court, at the cost of only 20% penalty, why doesn't everybody just do this, and deprive the tax office of their revenue?
Usually, it is the tenant who pays the stamp duty. All of it. The landlord will naturally insists that the law be followed and the tenancy agreement be stamped. It costs him nothing. And if he waits till he needs it stamped because he wants to bring a court action, then it would be HIM who has to pay the stamp duty and penalty. It would be difficult for the tenant to refuse, and tell the landlord that he would like to break the law, at the start of their relationship.
BTW: TS, good job. Very helpful guide. I'm bookmarking this.
This post has been edited by zeb kew: Dec 6 2015, 08:14 PM
Dec 6 2015, 08:13 PM

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